Hong Kong Stocks Fall, Other Asian Markets Up

Hong Kong shares finished Monday morning's session with slight losses, extending last week's sell-off as investors were spooked by rising China-US tensions.

The Hang Seng Index slipped 0.4 percent, to 24,443.

On the mainland, the Shanghai Composite Index added 0.4 percent to 3,368, while the Shenzhen Composite Index also gained 0.4 percent, to 2,263.

The rest of Asia was in positive territory with Sydney more than 1 percent higher. Seoul gained almost 1 percent, while Taipei put on 0.8 percent. Tokyo was closed for a holiday

Investors keeping a wary eye on China-US trade talks planned for the weekend, which come after Washington imposed sanctions on several Hong Kong officials, further straining tensions between the superpowers.

"The running assumption in markets has been President Trump needed the phase one deal to succeed (as much as China) this side of the November elections to secure the midwest" farming belt.

But he added: "At the same time President Trump is running a hard China line into the elections". (AFP)

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